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I don't understand why you tried to restore anything? Just put the Leopard disk in and run the installer.
What you did was take the image in the DVD drive and put it on the hard drive. I'm not sure if that wipes the disk or not, but I think it does.
To read the HD, boot the computer with the Leopard DVD in it. Press and hold 'C' immediately after starting. It should boot to the desktop from the DVD drive. You ought to be able to access the hard drive from that point.
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